jon: you go, mila! we begin with a fox news alert out of seattle. police there are searching for a gunman who walked up to a parked car last night and shot four people, killing one of them. rick folbaum is watching the breaking news for us today. rick: unbelievable, this guy simply walked away after the shooting and one of the victims we're told, a 19-year-old woman who was pregnant, and you said there were three other victims as well, a 16-year-old girl, a 20-year-old man, and a 17-year-old boy, all of whom are expected to survive, and all four victims either sitting in or sitting on the hood of parked cars, three different cars in a neighborhood in south seattle, and here's the description that the police are giving right now, a black man, 6-foot one, in his 20s, stocky build, wearing a white t-shirt and black hooded north face jacket, his hair, in corn rows.

there is a local report, we should tell you, that police have someone in potential, the potential suspect they're talking to, but anyone with information about the case is asked to call 911 or the seattle police homicide unit at 206- 233-5000, anonymous tips are welcome. again, a 19 yrl woman is dead after a man goes on a shooting spree from south seattle last night. as we get more information, we'll bring it to you. back to you guys. jon: please do. rick folbaum, thanks. and good thursday morning to you! i'm jon scott. and welcome to you! heather: nice to be here. i'm heather chilledders in for jenna lee, we are in the fox news room, "happening now". high drama over the debt showdown. we've been telling you about this, lawmakers, the president, getting ready to go back at it yet again, a new round of talks on the debt ceiling after what republican aides called the

most intense meeting yet. jon: house majority cantor calling president obama agitated during the talks, the president said even ronald reagan wouldn't sit here, according to cantor, the president warned him, don't call my bluff, i'm going to the american people on this. heather: -- heather: then the two-hour sitdown t. just ended when cantor said he suggested a short month long increase in the debt ceiling and that's when he said the president stormed off saying enough is enough and now senate majority leader harry reid wearing in on the action and taking aim at the house majority leader. >> we had negotiations going on here in the room, and he walks out on the meetings, with the vice president of the united states. it was childish. jon: molly henneberg is live for us in washington. molly, what do these freshman tea party members want, what's the big question, right?

>> looking at the influence of the freshmen today, in general they believe and have very involved local voters to back them up that they were elected in 2010 with a mission to, reign in big government, specifically big government spending, and this debt ceiling debate fits right into that. here's more from one freshman tea partier. >> it would allow the debt ceiling to go up, but only if we had significant cuts, statutory caps and balanced budget amendment and there's a growing movement with that. we met with leadership, we met with majority leader eric cantor and were trying to impress upon them that we need to be for something as republicans, we need to define what we're for. >> senator paul says this is a fight, quote, too important to give up. jon. jon: what kind of influence do the new members have, though? >> well, republicans are in the minority and the senate, so less there, but in the house they're in the majority and tea partiers, or those who agree with the tea party on fiscal issues, among the 87 how freshmen

have not been shy about staking their ground and house democrats say this is a problem for republicans. >> what i do hear from republicans is that there is a real fissure within the republican caucus between the tea party republicans who want to go further and further to the extreme right and quite honestly are willing to bring down the government in the pursuit of a political goal. >> congressman israel says all this has, quote, affected the current status of negotiations on the debt ceiling. jon. jon: molly henneberg in washington, thank you molly. in just a bit we will get reaction fromra freshman senator elected with a good deal of tea party support, wisconsin republican ron johnson joins us with his thoughts about all this. we want to hear from you. today, we are asking, if there is no debt deal, where should the money go first, military, social security payments, medicare? log on to foxnews.com, click on the you decide link, cast your vote and you can see

how others are voting as well. also, leaving a comment. heather: research for suspects going on in india right now, security forces are sifting through evidence from yesterday's triple bombing that rocked the country's financial capitol of mumbai. a top government minister says that investigators are looking into every known hostile group, but so far, no arrest. national correspondent catherine herridge is following this story from washington and has the very latest. >> reporter: this morning, indian officials say they have no claim of responsibility, they have no serious investigative leads, and also that there was no intelligence warning that the attack would take place. meanwhile u.s. officials here in washington described this attack as, quote, coordinated and bearing the hallmarks of a coughis saitd operation. they say muhajadeen is suspect but they are poorly organized and had help possibly from pakistani intelligence. >> with a dramatic attack

like this obviously coordinated over three location, it took money and it took planning, and that always raises the speckter of the isi in pakistan. >> this morning, new evidence suggests the bombs were planted at a bus shelter, also on a motorcycle and near a parked car. this really shows that these devices were designed to cause maximum casualties and they all went off within a span of 15 minutes, and again, the simultaneous nature of the attacks is a signature of terrorism, heather. heather: they did their jobs. catherine, what does this attack mean for the u.s.? >> well, look, immediately in washington, the focus went back to three years ago and these attacks in mumbai, that was a series of attacks orchestrated by ten pakistani militants armed with cell phones, hand guns and backpacks with explosives. analysts here say if this latest attack causes friction between india and pakistan that could be serious trouble for the u.s. let's listen: >> if the attack were a

cause to try to provoke a crisis between india and pakistan that would have major implications for the united states. we do not want to see those two countries go into another crisis and perhaps fight another war, which they've done three times in the past. >> secretary of state hillary clinton still plans to go to india next week. that had been previously planned but that trip is going ahead. heather: thank you very much , national correspondent catherine herridge. thank you. jon: fox news alert, and a glimmer of good news on the economic front. weekly jobless claims are down, the labor department saying the number of people who filed for unemployment benefits last week fell by 22,000 to 405,000. that's the lowest level in almost three months. but now, we're learning the united states could lose its top notch credit rating in the next few weeks. moody's investor services placing the u.s. on review for a possible downgrade if our lawmakers do not agree on a plan to raise the debt ceiling. now reuters is reporting

u.s. lawmakers got a similar warning from the s&p. who better to ask about this than elizabeth mcdonald of the fox business network. i guess there are other debt that is could be affected? >> it of the debt issue by fannie mae, freddie mac, the federal home loan bank, and surprisingly, debt that the issue is guarantying issued by the states of israel and's egypt, about $1.25 billion worth of bonds issued by egypt, that was a loan guarantee program that came about after the spring uprising, and also about $11.9 billion in bonds issued by israel, jon. so very interesting disclosure there. jon so when moody's and s&pes talk about potentially down jading u.s. debt that, has pretty big ramifications in the financial world. >> that's right, jon. also it would be the bonds issued by 7000 municipalities, and you know, we're hearing from j.p. morgan chase and bank of america that if there is a downgrade, it would hurt u.s. economic growth, which is already flatlining around

2 percent to 3 percent, so some talk of now if there's a downgrade it could push us into a double-dip recession, so this is serious stuff and both s&p and moody's are saying, jon, they want to see substantial credible plans, s&p is telling fox business a 1-3 -- one in three chance of a downgrade by 2013 if they do not see a substantial, credible plan to reduce the decifit. jon: let's hope our elected representatives and administration in washington with come up with a plan that avoids this. thank you, liz bed mcdonald. >> delighted. heather: apparently brand new signs that sarah palin may not be out of the race for the white house in 2012. the former v.p. nominee telling our very own sean hannity that she's still thinking about it and that a decision could come in the next few weeks. chief political correspondent carl cameron is live for us in

washington. so carl, palin waved her flag for 2012 again. what exactly does this mean? >> she's prove once again that just the slightest utterance can scramble the thinking about what it might be for the presidential campaign in 2012. palin said last night as she has been consistent in saying, that she is still thinking about running for president, she is still wondering if there isn't perhaps some other great conservative leader who might emerge and take the role, that if no one does, she still considers herself a possible contender. here it is: >> now, i'm not wholly confident that we have that filled set yet, that that one individual is in the fill, so i'm thinking about being one who would offer myself up in the name of service, knowing confidently that i have those common sense, fiscally conservative , pro private sector policy and experience and ideas that can be put to good work for this country. >> reporter: for months there's been a steady stream

of republicans telling her not to run, there are about ten that have taken themselves out of contention. texas governor rick perry is looming ago a potential conservative governor who could give palin a serious run for her money but she continues to say she's thinking about it, and now comes the question of whether or not there's time. perry is making the same consideration, can he logistically put together a national campaign and do the campaigning in the early states that would require it. it's clear that palin is aware of that timetable. listen to this: >> legally, of course, there are time frames, and that time iso it's coming rapidly, in front of all of us. you know, august and september, you do have to start laying out a plan if you are to be one to throw your hat in the ring, so that's basically the time frame. >> reporter: in fact, there are some folks who would argue it's actually getting late. we are exactly one month from today from the next fox news presidential gop debate. it will take place in ames, iowa, and it comes only a matter of days before the

potentially crucially important ames straw poll, so a month, and that will be the third debate of the presidential republicans. heather: august a big month for a lot of topics and perry said he would announce in august and he says he thinks about a lot of things, not just this, by the way. last week, he said this would be rudy giuliani's last trip to new hampshire before making a decision. where does he stand on that, do you know? >> the former new york city mayor and 2008 contender didn't did well then and made some mistakes. he's in hampton today, we'll make a couple of stops and this will be the last visit to the primary state. his inside folks say rudy giuliani will make his decision to run next week known -- known next week. he will make it public if he's in or out sometime in the next few days. heather: everybody keeping us dangling. thank you very much, carl cameron. jon: well, it sounds like a mini version of the ten biblical plagues for the state of arizona.

first, folks there hit with a dust storm, then monsoon rains moved in. now a really creepy situation is developing. we're live with that story. and as the national debt spirals out of control and a government default or possibility thereof seems to get closer and closer, the push to end the crisis, going full force. but the series of closed door meetings is bothering some lawmakers. we will go in depth. rick is live at the dot com wall with three hot videos for you. you get to choose which one you want to see. what do we have? >> >> reporter: you decide, we report. these are three great stories, we love them all. which one do you like best? go to foxnews.com and check out your choices today. they involve a fishtail that even steven spielberg would love. want to hear about that shark that jumped into that guy's boat? or the saki con soar? maybe you -- connoisseur?

or the duckling that needed to be rescued, oh, look at those little ducklings crossing the road. we've got that story if you decide. go to the home page and vote, we'll have the results and the story later in the show and we'll have more of "happening now" after a quick break. don't go away.

jon: well, the race to end the debt crisis is going into serious overdrive now with word the white house is even considering a weekend meeting with congressional leaders to take place at camp david. the deadline for government default now less than three weeks away and the sides seem very far apart, especially after yesterday's meeting, which was described as the most tense to date.

a new round of talks is set for later today. joining us now, ron johnson, republican from wisconsin, who sits on the senate budget committee. you were elected with a fair amount of tea party support. are you one of those who says absolutely no tax increases if we're going to get this thing under control? >> well, i certainly don't want us to see any kind of polices enacted that would harm economic growth. i mean, the real job here is creating jobs. you know, making it easier to create jobs, increasing taxes wouldn't do that, so that would be the wrong prescription. so yeah, i would be opposed to increasing tax, not closing loopholes. certainly, structural reform our tax code, all republicans are absolutely for dramatically trimming down our tax code, absolutely, but time is short. jon, we shouldn't be in this position of bringsmanship. if the president were really serious about fixing this problem he would have been sitting down months ago and being personally involved and engaged in the

negotiation in terms of how to prevent the bankrupting of america, he would have presented a serious budget instead of the one that he's presented to us that lost zero to nine # in the united states senate. the president simply is not serious about this. he's playing a game of political bringsmanship, and it's very unfortunate. jon: but you also say that -- your word is disgusting for the closed door meetings that have been taking place. isn't that the way stuff gets done in washington, behind closed doors? >> oh, that is business as usual. and let's face it, business as usual in washington is bankrupting our nation. and it is a disgusting process. think about it. we are talking about developing a budget, $3.7 trillion, or $3,700,000,000,000, or another way -- 3 million, $700 million. it's huge. and the fact that a couple people behind closed doors are going to hammer out of the details of that large a budget, it is absurd, and i want the american people to

understand how absurd that is. it's ridiculous. jon: so if you could wave a magic wand and make all the problems go away, what would you do to be able to allow the country to spend money, keep the debt limit or keep the debt rating upgraded and still have a functioning budget? >> i think there's actually a pretty simple solution. we're working with the house right now to pass the cut, cap and balance act. it's pretty simple. i've always thought this was a 2-step process. first we have to instill the very strong fiscal controls, the caps, that will limit spending and force washington to prioritize. so the whole bottom line of the cut, cap, balance deal is you cut next year's spending, real cuts, not smoke and mirrors, then you provide caps that decrease the rate of increase in spending. that's what we're talking about. we're not really talking about cutting spending that first year, it's just limiting the growth. then we actually increase the debt ceiling, contingent on passing a constitutional

amendment that would actually limit the size of government and balance the budget. we send that to the states. you know, people like me are happy to let the american people decide whether or not we should instill this fiscal discipline. we'll give the president what he wants. we just want to let the american people decide. i think that's a pretty reasonable solution, that can be done quickly. we're hoping the house will pass this next week. jon: we'll see, senator ron johnson, on the senate budget committee, thank you. >> thank you for having me on. heather: shall might be my -- this might be my favorite story of the day, this little girl, sinking a hole in one, something that jon does every day. jon: i wish. >> the youngest golfer ever to do that since the course she plays on opened up. we'll talk with her next. plus these goodies, it is jumpuse, but it's -- it's scrumptous, but it's scrumptous, but it's aha headache.

what's the story?

jon: a fox news alert and dramatic developments in the perjury trial of baseball great roger clemens. rick folbaum is on it from the breaking news desk. >> reporter: the judge in this case says he may have no choice but to declare a mistrial after prosecutors violated his order that barred them from introducing certain information to the jury. the judge in this case is u.s. district judge reggie walton, he has now called a recess to try to figure out exactly how to move forward here. he is overseeing the trial in which the former baseball star is charged with lying to congress during testimony when he denied ever using performance enhancing drugs. prosecutors had wanted to call some of clemens' former teammates to the stand as witnesses and before the trial got underway the judge said no to that. the main witness for the

prosecution is clemens' former trainer and friend, who says that he personally injected the pitcher with the drugs. again, there may be a mistrial in the roger clemens trial, the perjury trial that's going on right now. he could go to jail if he's convicted. so we'll keep a very close eye on this and bring you more information as we get it. back to you. jon: wow. rick, thanks. heather: cookies, brownies, ice cream sundaes, what makes them all so good? sugar. but there is something about this ingredient that's not so sweet. its cost. now a coalition group is putting the blame on government programs and taking some action. adam shapiro of the fox business network is inside sarah beth's bakery in new york city. why does the farm bill set import quotas on sugar and doesn't that make it more expensive in the united states? you would think. >> it does help keep the price of sugar elevated in the united states. they're working here at

sarah beth's bakery, making all the goodies people love and sugar is a big part of that. sarah beth levine, you may know her originally because of the sarah beth's marmalades and jams, she spends $300,000 a year on the sugar bill, that's for the bakery, as well as the jams. she joins me live now. we've been talking about the price increases on sugar and other commodities you pay. there is a move to try to end the quotas that don't allow foreign sugar into the united states and it would drive down the price of sugar. would that help you in your business? >> it would help us but i also love the farmers so you kind of want to sit on that sense because you feel for the farmer, but you also feel for the pocketbook of the business. >> reporter: in fact, you bring up an important point, because the sugar alliance actually makes the case that one of the reasons we have as part of the farm bill these sugar quotas is to protect the sugar industry in the united states and make sure we have a safe food supply and constantly have sugar should something happen with the foreigners.

but yet, you just recently had to raise prices and in fact the price of suing user you were saying you pay for on a daily basis goes up, down. >> it fluctuates every day, it's like the other commodities and it's a problem, it really is. because we cannot change our prices on a daily basis. i can't leave my menus open that say priced according to the market. >> you're getting ready to open your eighth restaurant, bakery, congratulations, it will be here in manhattan, there's one in key west, the rest are in the new york area. if you guys are here, you've got to try it, it smells great and the food is wonderful, but you're employing a lot of people but some of the candy companies that have to buy sugar is sending business to mexico and other countries where the sugar is cheaper. wouldn't it make sense to drop the quotas and let everyone play on an even playing field? >> yes, i totally agree, that will be great. maybe we can all play together. maybe it's not going to be as big a problem as farmers think. we need to be able to control our prices.

we can't keep raising the prices, and you get to a point where you look away, like you don't want to know, one day you can pay $72 for a 100-pound bag of sugar, another day, 64, and it goes back and forth and back and forth. >> sarah beth levine, it's the best assignment i've had in a long time. not going to let you see me eat on camera, but there are really good treats there. heather: part of the deal is for you to bring that jam back for us so we are counting on that. >> orange, apricot marmalade! >> a prayer service is good to get underway for former first lady betty ford, back in her home state of michigan where she is to be laid to rest. we have a live report for the solemn day for the family of the former first lady, a remarkable woman who achieved much in her 93 years. so what is exactly the key to a long five? the folks on one tiny island might have the answers. their secrets, revealed,

next. service was very moving, wasn't it?

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there are no health questions or medical exam. you cannot be turned down because of your health. so, whether you're getting new insurance or supplementing coverage you already have, join the six million people who have called about the colonial penn program. ask one of their representatives about a plan that meets your needs. they're waiting to hear from you, so call now. i've put this off long enough. i'm definitely gonna call about the colonial penn program. heather: folks in arizona getting a triple whammy. first, a massive dust storm causing all sorts of problems, and then monsoon-like rains moved through and now it's bugs, and lots of 'em. rick has the creepy, crawlly details. hi, rick. >> reporter: i did not realize, but apparently people in the phoenix area are used to

this kind of thing. violent dust storms that typically hit the area between mid june and september, but this year, as you mentioned, just as an added bonus, lots of bugs. the monsoons have swept through leaving in their wake bugs that thrive on the wet conditions. we're talking about scorpions, abilities, mosquitoes, all causing problems and, basically, just grossing people out. ask they're not exactly easy to get rid of. you might have to call in if some professionals. exterminators say any kind of standing water is exactly the kind of thing mosquitoes love, but personally i'd be more concerned about the scorpions. if you're stung by a scorpion, you've got to get to the hospital quickly for treatment. anyway, the weather in arizona expected to improve. drier air and sunny with highs at about 102. back to you. heather: and remember that scorpion that got onboard the plane and bit a guy? did he come from there? i don't know. maybe he wanted to escape it too. >> reporter: let me look into that, i'll get back to you.

heather: thanks very much, rick. jon? jon: we're taking in the feeds from satellites all over the world and, yes, from outer space. take a look at remote 324, that's a picture you won't be seeing too much longer. see the space shuttle there? tocked with the international -- docked with the international space station. we won't be seeing these pictures, really, again. remote 291 shows us the heat advisories that are still in effect all across the country. we have a beautiful day in new york city today, but down there, oh, in oklahoma and texas really hot. we'll keep you advised about that. and then we're going to take you up north, grand rapids, michigan, on remote 251. they are laying former first lady betty ford to rest today, a remarkable woman who lived a very long and fruitful life. steve brown is there. steve? >> reporter: jon, it's ironic, and it is sad, but today, july

14th, would have been the 98th birthday of former president gerald ford. today the final good-byes to former first lady betty ford. public viewing of her casket has concluded, that was at about 10:00 this morning. according to folks with the gerald r. ford museum, there's about 3200 folks that filed past to pay their final respects in the limited amount of time that the public was given to do so. the word grace might be a very good one for the former first lady because she exhibited exactly that, grace, under the most difficult of situations. >> there was not a disrespectful bone in her body. she brought breast cancer to life, she was for women, and she was a remarkable person. >> reporter: being first lady

is not an elected position, that belongs to the spouse, the president, but being first lady means that you do have a public pulpit, and betty ford used hers to share her own personal trials with breast cancer and chemical dependency and erase some stigmas and raise awareness on that. and a lot of folks today have benefited from that effort to try and erase stigmas about chemical dependency and about breast cancer, raise awareness, get into early treatment, those sorts of things. betty ford was also employed to do one of the sadder jobs that president ford had to deliver what was his concession speech in 1976 when he lost to democratic challenger jimmy carter. president ford had lost his voice campaigning, so it was betty ford who offered the concession speech on that particular political evening, first tuesday in november of '76. so betty ford, a multifaceted person with a lot of grace under pressure and, certainly, somebody who will be remembered

fondly in the annalses of american history. jon? jon: she and her husband, very classy individuals, they will be missed. steve brown, thank you. heather: well, the fountain of youth, it may be a myth although i believe in it, but the residents of the greek island of acaris, they seem to have found the secret to living a longer and healthier life. there are only about 8,000 people living there, but the percentage of residents over the age of 90, it is ten times that than the rest of europe. so what can we learn from ikaria? we all want to know. dr. mark get is the author of -- mark seal egg joins us with more on this interesting story. we want to know right away, what can we learn? >> you know, you can trace this all the way back to 484 bc when one of the first physicians said their streams on this island, the special healing powers.

and that was the fountain youth. but now take it all the way back to the modern times, a new study in cardiology research and practice looked at this island and said, wait a minute, these people are living a long time because they're taking midday naps, they're eating more vegetables and fruit, they're more relaxed, they're under less stress, they're not drinking a lot of alcohol, and they have a lot of physical exercise. all the good stuff that we know can help. maybe genetics plays a role. i think bathing in those streams may help, but it's really more the lifestyle. heather: and is that where the term comes from, blue zones? is. >> no, exactly. and there's been books about this, in okinawa, there's one here in california, but all of them have in common better lifestyles, people under less stress, eating better and exercising. heather: so it's a combination of factors, including naps. >> right. this study seems to think naps play the most important role of all. in fact, after this show -- heather: you're going to go take

a nap? the. [laughter] >> we're going to study that at 1 p.m. heather: i do believe that less stress adds up to a healthier life, and you may live longer. >> what was interesting about that was the people on this island got heart disease, high cholesterol, all the things that were associated with stress, but they got it later. in if europe people live to about 55, 60 years old. these people live to 60, 70, 80 years old. again, they die of heart disease, but much later on. heather: cardiovascular disease is the number one leading cause of death here in the united states. >> and in europe. in europe it's almost 50%. here 750,000 people a year die of heart disease, and diet is clearly related. if you have a diet that is high in fruit, vegetables and low in meat and saturated fats, now, of course, the study also looked at olive oil, they found that improved sexual function. that was an interesting finding. that was probably due to the

fact, there's another study that seems to show olive oil increases your testosterone, so we'll go with that. heather: less stress, be happy and live longer. >> and have fun. jon: i'll be napping on my office couch before too much longer. [laughter] thank you, doctor. speaking of health, there's a health crisis for hugo chavez, the president of venezuela. what he is battling, some new details today about his treatment. we're live with more on that. and a 6-year-old girl does something most golfers never get the chance to do. an unbelievable shot on the course. her record-breaking, yes, hole in one, and what she did right after. we're going to talk to her live coming up "happening now." are you receiving a payout from a legal settlement

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[gunfire] jon: unidentified gunmen started firing leaving seven people dead, more than two dozen injured. groups of youths took to the street and started firing indiscriminately. more than a dozen vehicles and hundreds of tires were torched in various parts of the city. all this violence broke out after a senior provincial minister criticized a political rival on television news. also in afghanistan a homicide bomber blew himself up inside a mosque during a memorial service for president hamid karzai's half brother. the blast killed five people, including the head of a council of clerics and a young child. the explosion wounded 15 others. the taliban claims responsibility but remains quiet on this mosque attack. karzai was a high-ranking official in kandahar's government, also considered one of the most powerful men in

southern afghanistan. health let's well, a 6-year-old girl from illinois tees her way right into the record book by sinking a hole in one. reagan kennedy becoming the youngest golfer ever to hit a hole in one since the links at ireland grove opened some five years ago. and reagan kennedy, she joins us now by phone with her dad, steve kennedy also on the line. hi, steve, hi, reagan. >> hi, heather, how are you? heather: doing fine. how are you doing? >> we're doing well. heather: so, reagan, how surprised were you that you hit this hole in one? >> very surprised. heather: could you see the ball actually go in? i know it was, what, 85 yards. could you see it go in? >> no. heather: and what did you do right after you hit the hole in one? >> walked back to the cart. heather: so you walked back to the cart, and from what i understand your 13-year-old

sister was sitting there, but you were really quiet, right? >> yes. heather: and why were you so quiet? had your dad told you maybe you were supposed to be quiet on a golf course? >> yes. [laughter] >> yes. we told her the proper etiquette for the golf course is quiet unless -- as long as you get one, then you can scream all you want. health he so, steve, how long has kennedy been playing golf? >> reagan's been golfing for about three years. heather: since she was about 2? >> we gave her a little set of golf clubs when she was 3, and she went out with me a few times. she liked the game, she excelled at the game, and right now we're having fun with it. heather: did you think she would get a hole in one? >> no, we didn't think that. but it's a pretty cool moment. heather: no doubt very proud. what was the reaction around the course there? >> they couldn't believe it, that a 6-year-old got a hole in

one. health. heather: yeah? and does reagan want to be a golfer when she grows up? >> i want to be a professional golfer. heather: you do? >> uh-huh. heather: i heard maybe your next goal was to beat your dad. >> yes. >> we hope so. heather: reagan, thank you so much for joining us, we really appreciate it. this is a great story. thank you so much. >> thank you. thanks for calling. jon: i want to know if reagan gives lessons. heather: i was going to ask her if she had any advice. jon: i've been playing for a bunch of years, and i've never had anything close. i get maybe 30 feet from the pin, maybe, if i'm lucky. [laughter] heather: and how many more before it goes in? jon: we don't talk about that either. what are the odds, by the way, on a hole in one? heather: i think it's, like, two million -- no, is the it nine million to one? jon: i think i saw the oddses for tiger woods is one in every

2300 shots, something like that? heather: well, that's pretty good, but that's tiger woods. jon: hey, a mama panda is welcoming a new addition to the family. our first look at a little cub with some serious roots right here in the u.s. also, he was the ceo of a huge, successful chain of pizza restaurants. he's running for president, but do you know that herman cain is also quite the singer? john stossel was on hand for a performance of sorts. we'll talk with him about that coming up. [cheers and applause] ♪

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>> reporter: this is a fox news alert. we're just getting word that the judge presiding over the roger clemens perjury trial in washington, d.c. has declared a mistrial. the judge presiding over the

trial, again, calling for a mistrial after the jury was presented with information by the prosecutors that was against an order that the judge had previously administered. this is information that the prosecutors presented in the case, the judge had told them previously not to do it. they went ahead and did it anyway. there was a little bit of a time where the judge called for a recess so that he could decide how to move forward in this. he was afraid that he couldn't unring the bell, meaning couldn't take the information back the jury had already heard it. and so they were already going to have to take that into account, and he was afraid that it would reflect poorly on the defendant in this case, roger clemens, who was on trial for perjury, charged with lying to congress during congressional hearings saying he had never used performance-enhancing drugs. waiting to hear whether or not there will be another trial, a new trial or whether clemens will simply be let off the hook altogether. when we get more information about that, we'll bring it to you.

once again, a mistrial declared in the roger clemens trial. back to you. jon: new developments in the crisis in libya, and rebels there running into a minefield when they recaptured a front line village from pro-gadhafi forces. it's all fresh evidence that government troopses are using mines in that uprising, despite denial from tripoli. new offensives south of the libyan capital, leland vittert is streaming live from misrat the that. >> reporter: right now we are under rocket attack here in misurata, a couple of hours ago six rockets landing about a mile from the hotel. take a look at what the view was as those rockets came in, and then you can see on the ground the effect. when they land, they are indiscriminate, they are not aimed very well. six burned-out cars, a number of destroyed cars, a number of people who were close by certainly could have been hurt, though they were not. it goes to show you that even after a number of months of nato

airstrikes, gadhafi not only has the ability, but also the will to attack his own people here as he tries to put down this rebel uprising. the rebels seem to be taking two steps forward and then two steps backwards. they try to mount an offensive move, they take a new city, and then they are pushed right back here into wherever their front lines were before. as for nato, they continue to keep up the pressure, but it comes as gadhafi is putting out rumors all the time that he is still talking about maybe leaving, at the same time also threatening, now, a suicide attack on tripoli if rebels actually march there. jon, back to you. jon: leland vittert streaming live from libya, thank you. well, more drama, if you can believe it -- heather: imagine this. jon: yeah, for casey anthony. the woman acquitted on charges of murdering her daughter, a motion filed ordering her to appear to give a deposition. we'll tell you who filed it and why. heather: and the pressure is on in washington as that august 2nd

deadline approaches. the latest on the debt showdown. jon: that's a big story, of course. we know a lot of you are heading off to vacation with your families. it's now easier than ever to take fox news with you. [laughter] all you have to do is go to foxnews.com/mobile. use all lower case letters there. you can find out how to stay connected with your mobile phone, smartphone, any mobile device. get fox news alerts, stream live video, watch your favorite clip from your favorite fox news shows all on the go. an accident doesn't have to slow you down. with better car replacement, available only with berty mutual auto insurance, if your car is totaled, we give you the money for a ca one model year newer. to learn more, visit us today.

responsibility. what's your policy?

jon: a fox news alert, and dramatic developments in the perjury trial of an american icon, roger clemens. rick folbaum is covering the breaking news for us. >> reporter: well, the former yankees' pitching great is on trial charged with lying to congress during testimony a few years ago when he declared that he had never taken any kind of performance-enhancing drugs

during his baseball career. prosecutors wanted to charge him with lying under oath bah that, and -- because of that, and there's a witness, a former trainer of clemens who was the star witness for the prosecution expected to take the stand and say that he had personally injected clemens during his baseball days with these drugs, hdh and human growth hormones and steroids as well. this trial just got underway a couple of days ago, and the judge gave the prosecutors some very explicit instructions and orders about what they were and were not allowed to present to the jury in this case. and two times over the first two days of this trial the prosecutors, evidently, went against the judge's wishes and presented some information to the jury against the judges' orders, and because of that after the most recent occurrence today, the judge has declared a mistrial in this perjury case. scheduling a hearing on september 2nd to decide whether or not to hold a new trial, and

i'm told that there will be, in all likelihood, there will be another trial. so it does not appear as though clemens is off the hook entirely. but again, in this original case, this perjury trial in d.c., a mistrial declared after prosecutors show the jury evidence against the orders of the judge. back to you, jon. jon: all right, rick folbaum, thank you. heather: well, lawmakers turn to finger pointing and name calling in an escalating clash over the debt ceiling. hello, everyone, i'm heather childers in for jenna lee. jon: and i'm jon scott as we begin the second hour of "happening now." one lawmaker called childish, another accused of losing his mind. america's debt crisis caught between a lot of rocks and hard places. the rock is on capitol hill, the hard place is holding firm at 1600 pennsylvania avenue. wendall goler live at the white house for us right now.

>> reporter: democrats and republicans calling each other out on the hill after a day of tense talks at the white house yesterday. democrats focusing on eric cantor who they feel is really leading the republican side right now. republicans, of course, aiming at the president who is said to have told cantor yesterday enough is enough, and don't call my bluff on the debt ceiling. mitch mcconnell today teed off on the president from the senate floor. >> really gave us three bad choices; higher taxes, smoke and mirrors or default. and we refuse to accept think of them. republicans will not be reduced to being the tax collectors for the obama economy. we won't be seduced into calling a bad deal a good deal. and we won't let the white house fool around with the full faith and credit of the united states. >> reporter: missouri democratic senator claire mccaskill said on msnbc mcconnell is, quote, losing his mind. he's proposed democrats take all

the blame for raising the debt ceiling with three votes over the next year which, of course, would be political suicide for red state democrats. sources say the president is demanding republicans either give up their refusal to increase tax revenue or give up their demand to cut spending as much as they raise the debt ceiling. eric cantor's refused, so senate majority leader harry reid took a swing at him. >> house majority leader eric cantor has shown that he shouldn't even be at the table. and republicans agree he shouldn't be at the table. one republican told politico last night and hill publication, quote, he lost a lot of credibility when he walked away from the table. -childish. end of quote. -- it was childish. end of quote. what's that all about, mr. president? >> reporter: cantor's spokeman said of reid, quote, it's not surprising reid wants to raise taxes with so many americans out of work, same players back here at the white house at 4:15 this afternoon. jon, heather? jon: and perhaps more names to

be called. we'll see. unbelievable. wendall goler, thank you. heather: tensions are rising as the debt deadline gets closer. russell berman is staff writer for the hill, he's been following the negotiations, and he joins us now with more. hi, thanks for joining us. >> thanks for having me. heather: we've talked about some of those names that you heard jon reference, childish, don't call my bluff, losing his mild, to say the least a rock and a hard place. do you see this going anywhere anytime soon? >> well, that's hard to say. according to eric cantor last night, the president told congressional leaders yesterday that he wanted them to figure out by friday what approach they're going to take to raise the debt ceiling by august 2nd, that's the deadline that the treasury department has set to avoid a default. but eric cantor said he told the president we're very, we're so very far apart. so they're going to go back to the white house, and it's hard to see exactly, you know, which

piece, you know, which side is going to move first. heather: yeah. by friday it seems like right now that is next to impossible. we're showing some footage right there of eric cantor, now the president. where is speaker boehner in if all of this? >> well, publicly he and cantor say that there's no daylight between them, but clearly the speaker has let eric cantor do the majority of talking in these white house negotiations. he's been a little bit more vocal to reporters and on tv. so, you know, we, we know that there's been tensions between them. we know that eric cantor objected to the speaker's efforts to strike a grand bargain with the president a couple of weeks ago. right now publicly they're on the same page, but the democrats are trying as hard as they can to exploit, you know, what are clearly some tensions between these two leaders. heather: all right. let's boil down these numbers for folks at home once again. we've reached the $14.3 trillion limit back in may. we have until august 2nd to

extend that, um, and apparently to extend it to 2012, to last through 2012. it must be raised by $2.4 trillion. the problem is republicans won't agree to doing that unless the obama administration agrees to at least, um, a reduction of, in the next ten years, correct? that's what it boils down to? >> right. the republicans are demanding dollar for dollar spending cuts for every dollar in the additional borrowing authority that congress authorizes. and so that, according to the administration, that would be $2.4 trillion through the next election, and the president has said he doesn't want to do any short-term deals. he wants this to go through 2012. and eric cantor says they've only agreed right now on about, you know, depending on who you ask about 1.7 trillion, it could be even less than that, so obama's said to them either you guys got that give on your

dollar for dollar demand in terms of spending cuts, or we have to go back and look at revenues, and that's tax increases to republicans. so that's where we are right now. heather: and then coming up friday some discussion on whether it will be a short-term deal or long-term deal m the grand plan. >> right. so the line in the sand that the president is drawing, he's saying there will be no short-term deals. and eric cantor was trying to portray the republicans as offering some concession because the house side, the house remins have also -- republicans have also been opposed to a short-term deal. but cantor told the president last night we're now open to a short-term deal, and the president shut him down. heather: they're meeting again today, so there is hope. we'll see what happens. russell berman, thank you. >> thank you. jon: venezuelan president hugo chavez revealing new details about his cancer treatment. he went under the knife back in june in cuba. now we're learning more about his road to recovery. steve harrigan has the details for us from miami.

what do we know for certain about his health right now, steve? >> reporter: well, jon, you have to keep in the mind that the real source for information about hugo chavez's health is hugo chavez himself. he called in to state-controlled television yesterday, said he would either undergo radiation or chemotherapy treatment for cancer, but still not known at this point what kind of cancer exactly chavez is suffering from. he also gave his reaction when he was shown the tumor that was taken out of him in cuba. he said, my god, it's as big as a baseball. of course, the real question is, will this cancer sideline hugo chavez? he's ruled in venezuela for 12 years, of course, venezuela a key oil exporter to the u.s. he wants to run again next year, but this illness could slow or sideline him from that effort. jon: yeah. we're looking at new videotape, he's much thinner, obviously. looks a lot different than he did a few months ago. is that because of the illness, or is he trying to suddenly change his diet and, you know, behave himself.

>> reporter: there is a dramatic change in how hugo chavez looks from just about a month ago. keep in mind he did spend one month inside of cuba. he underwent two operations there, and it was kept top secret by the cubans. so some real concern, also, from chavez and his staff about his lifestyle. he said he was leading a deadly kind of lifestyle. he was, in the his own words, as big as a tank. he was over 220, now he's down to about 180 pounds. he was drinking about 40 cups of coffee a day, he's cut that out. but maybe the biggest change would be in his workload. he would speak sometimes seven to eight hours on national television without interruption, he's going to cut those back to 15-30 minute addresses now. so some major changes in lifestyle and politics from hugo chavez. he says he wants to run and rule for another ten years, but health could get in the way of that ambition. jon: i'm thinking the people of

venezuela are going to like those shorter speeches. >> reporter: well, certainly the baseball fans will appreciate that. [laughter] jon: steve harrigan, thank you. heather: as america's manned space shuttle program winds down, we take a look back at the very first shuttle mission and the nerve-wracking effort to get the program off the ground. plus, prepping for the trial of the second defendant in that gruesome connecticut home invasion. who the defendant wants to keep out of the courtroom and why. and now let's go to rick who is standing by at the web wall with today's must-see moment. >> reporter: okay, heather. well, there's still time to vote, so go to the "happening now" home page at foxnews.com, and let us know which story you most want us to tell you about coming up at the end of the show. we've got a shark tale for you if you're interested to know why the shark ended up in the boat with this guy. or maybe you want to know about this young girl. how old is she, and why is she a sake connoisseur? or perhaps you're most interested in learning about this little family of ducklings

and what they were up to. they needed some help, and they got it too. so go to the "happening now" home page and let us know what you want. we'll have it for you coming up a little bit later on in the show, and we'll have more "happening now" after a quick break. to keep in balance after 50, i switched to a complete multivitamin with more. only one a day women's 50+ advantage has ginkgo for memory and concentration, plus support for bone and breast health. a great addition to my routine. [ female announcer ] one a day women's.

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lifelock. relentlessly protecting your identity. >> new new information on some of these stories that we're following for you, defense attorneys for a connecticut man charged with killing a woman and her two daughters wants the victim's husband kept out of the courtroom, he should not be allowed to listen to testimony by other witnesses. prosecutors are objecting saying that he has a right to attend the trial as a victim. and we're getting a look at the defense strategy for the longtime girlfriend of boston crime boss whitey bulger as the two were on the run for 16 years before the long arm of the law finally caught up with them. her lawyers are saying that whitey was harsh and controlling

while she was kind and gentle. and the judge presiding over roger clemens' perjury case declaring a mistrial. that's because jurors were, apparently, shown some inadmissible evidence against the judge's orders. a new hearing now set for september 2nd to determine whether to hold a new trial. jon: well, it's thursday, but it's sort of the weekend for astronauts onboard the shuttle atlantis. they are taking this day off after what's been a he can tech week -- hectic week in orbit. this is nasa's final shuttle mission, and we take a look back at the beginning at nasa's very first shuttle mission three decades ago. chris gutierrez for us live in dallas. chris? >> reporter: hi there, jon. you know, the space shuttle was built to launch like a rocket and then come down and land like an airplane. but back in the '60s and '70s that concept was simply unheard of. take a look. the most complex machine ever

built, but initially skeptics wondered if it would even work. >> i remember sitting in the grandstand here at the press site talking to my colleagues and saying it won't work. it's too complicated. this, this is a disaster in the making. >> reporter: on april 12, 1981, veteran astronaut john young and pilot bob clippen were ready to prove nasa's critics wrong. they were chosen to take the shuttle into space. clippen reflected on that date during our recent phone interview. >> how my name came out of the hat has never been quite clear to me, but i'm really proud that it did. it was just pure excitement. didn't have time to be scared. >> reporter: with the world watching, they set off on a two-day test flight. >> i turned to john, and i said i think we might do it, and that's when my heart rate went up to about 130. his was a nice, calm 90. i'm really surprised mine didn't go any faster. >> reporter: together they

traveled more than a million miles and circled the earth 36 times. >> our job was to find out if vehicle would do what we thought it would do, that is get it up, get it back down safely and to check out all the systems we could while we were on orbit, so we were pretty busy with just two of us onboard. >> reporter: they did stay fairly busy, jon, they even got a phone call from then-vice president george h.w. bush who said the shuttle was a sign of great things to come for this country, and now as we know, jon, 30 years later the program is coming to an end. jon: well, it has been a great vehicle overall. it's amazing to me, three decades and it's done. chris gutierrez, thanks. heather: well, casey anthony may soon be out of jail, but she's not out of the woods just yet. what lawyers are insisting on talking to her about now before she's set free. plus, the new face of warfare poses a growing threat to america. the pentagon's new strategy to combat cyber attacks, that's up next. hey, the new guy is loaded with protein!

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heather: well, casey anthony may be getting out of jail this weekend, apparently sunday, but now a florida attorney has filed an emergency motion against her brought by a woman suing anthony for defamation. that woman happens to share the same name as the fake nanny that casey said had kidnapped her daughter back in 2008. rick folbaum has these details for us. >> reporter: "zanny" the nanny was this made-up character that casey anthony concocted, a story when her family started asking questions about what had happened to caylee. it came out that she had made up the story about this babysitter who had taken the little girl away from casey as punishment, apparently, for being a bad mother. that was the story that casey told, evidently. no word on how she came up with the name, but there happens to

be a real se nay da fernandez gonzales. she lives in kissimmee, florida, and she is suing casey anthony for defamation. her lawyers have filed an emergency motion asking a judge to force her to appear at a deposition next tuesday where she will testify under oath. the lawyers have even asked the judge to allow them to interview casey anthony while she's still in jail, between now and when she's set to be released on sunday. they want to do this because they're afraid casey anthony won't show up for the deposition unless the judge forces her to do so. there is going to be a hearing on this tomorrow morning, 10:00, to see whether or not the judge will compel casey anthony to appear at that deposition or allow the attorneys for this woman to interview her while she's still in jail. again, that hearing is set for 10 a.m. tomorrow morning. as we get more information, we'll bring it to you. heather: thank you very much. and now, jon, i think we have something with you. jon: yeah, heather, this is a

fascinating report. new information on the pentagon's strategy for operate anything cyberspace. right now we are waiting for the pentagon to announce the unclassified details. this new plan deals mainly with defending the pentagon's computer systems against cyber threats. it does not focus on acts of war. we're going to get into some of the details now with the founder and ceo of agt international. it's a technology and security consulting firm. what everybody is wondering is what are these new pronouncements from the pentagon? i mean, essentially, they have said we are going to consider cyber attacks on this country equivalent to an act of war, right? >> jon, what we need to realize, that cyber attack is the nuclear war of the 21st century. it can melt down societies, it can melt down companies, organizations, so it's a real challenge. jon: we've heard of cyber attacks recently, game systems,

for instance. they were big attacks, but most people say, oh, that's interesting, or that's troublesome, but they don't realize some of the possible implications here. >> sure. if you just look, for instance, on sophisticated organizations that have been attacked, lockheed martin -- jon: big defense contractor, yep. >> google, a leading technology company was unable to secure themself. the cia and citibank, right? so you have -- look what kind of organizations are being attacked and aren't able really to secure themselves. jon: so you're not talking about just stealing people's credit card information. i mean, the internet, essentially, runs things like power grids and power plantses in this country these days. >> right. everything is the internet. everything is very cyber. you wake up in the morning, the first hour of the day you already use cyber if it's your cell phone, if you write something, and it doesn't matter if you're the head of the cia or anyone else. everyone is exposed.

jon: is that a good thing? i mean, have we become too dependent on the internet? >> well, it's a fact of life, but not only us, also all of the countries around the world, and that's an opportunity because it's a threat to anyone if he speaks english or if he speaks mandarin or german or portuguese. that means the threat, if everyone understand how difficult it is, it can be an opportunity for global corporation. jon:agt international, monty, thank you. heather? heather: well, a surprise for 2012, which state could serve as a swing state for the presidential be election. we'll let you know. plus, once a relative unknown throwing his hat into the presidential ring, now herman cain is growing in popularity. john stossel sat down with the gop hopeful for an in-depth look, and he joins us live up next. are you receiving a payout from a legal settlement

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jon: let's talk elections now. having grown up in colorado i remember a time when we were pretty much a state ignored by washington. we didn't have a huge population. and therefore, not a lot of clout. well some top political strategists are now saying the key to the oval office

this time around may lie in colorado. alicia kuhn i can't is live in denver with more. alicia? >> reporter: things have definitely changed. colorado voters are rarely predictable. divided almost equal thirds by party registration, that last third is critical independent or unaffiliated voters w that in mind take a look at this statement. in 2012, as goes colorado, so goes the nation. that is what karl rove told a crowd at a gop fund-raiser here in june. a sentiment that the state republican chair is in agreement with. take a listen. >> colorado has always been something of a swing state. we went for george bush in 2000 and 2004. we voted for clinton in '92 and for obama the last go round. the colorado's electorate really does tend to swing with a lot of national related issues as well as things impacting here at home. so it's going to be one of those handful of states that

will decide the outcome of the presidency. >> reporter: so the what does that mean for strategy? republicans and democrats agree they have to make an appeal to the independents. election after election, they have been the deciders. additionally, historically voters here in colorado have tended to reject any candidate or ballot measure for that matter that appierce extreme. fiscal responsibility is something long valued by residents here. like people around the country, they too are exhausted with washington and repeated e3.

her people don't know who he is. >> oh gosh. >> herman cain. >> i don't know who he is. i'm voting for barack obama.

heather: john stossel anchors stos he will on the fox business network and joins with us more. who is herman cain? >> he is a businessman who turned godfather's pizza around. it was supposed to be going out of business. he made it successful. he made some money doing that. he became a talk show host. he survived stage 4 cancer. he said, there must have been a reason i survived and i shouldn't be playing golf. i should be trying to fix the mess the country is in. heather: i don't know, can he be president and not play golf? >> i hope so. heather: we'll leave that out there. but you say it's a good thing that he doesn't have a background as a politician? >> i say that. some of our commentators here at fox say, oh, yeah, he is not a serious candidate. he has never held office. what's wrong with that? politicians, what have they learned? they learn how to suck up to people to get votes and how to smile when they don't mean it. why do you need to have those skills to be president? i think it would be good if we have a businessman who

knows how to run something who knows you can't spend more money than you have as president. heather: the average person knows that and maybe we wouldn't be in the trouble we're in. i'm from north carolina. he was in the debate in south carolina. that is where his name really took off on the radar. a lots of folks, a majority say he won that debate. maybe based on that he should be taking a little bit more seriously? >> gallop has a new poll which measures how much you like somebody you know. a lot of people didn't know him. of those who knew him, more like him than any of the other republican candidates. so, those are good bits of news and tonight we'll spend the whole hour with him so we can ask him more of a range of questions and learn more about him. heather: i was going to ask you. this is part of your commitment to spend an hour with each of the candidates that you can. what's your take on him personally? is he a nice guy, a happy guy? >> oh delightful guy. every time we've met him people just like him. now, i have stroubl with his

stances on some social issues and, when bret baier asked him a question in the debate on afghanistan he dodged that. so we'll press him more on that. heather: so you will hold him to that a little bit? >> yes. heather: thank you very much. looking forward to it. i will definitely be tuning in. you do not want to miss it either, john's interview with herman cain. tonight on "stossel" 10:00 p.m. eastern. >> thanks. jon: some new developments to tell you about in the news corp phone-hacking investigation, news corp the parent company of fox news channel. amy kellogg has that live from london. amy? >> reporter: hi, jon. the latest is that rupert murdoch and his son james along with their european deputy, rebecca brooks, are going to answer questions at this parliamentary select committee hearing next tuesday. now initially when they have been asked to turn up next tuesday, both rupert murdoch and james have said no, they were unable to make it this

coming tuesday. that they would cooperate at a later date. brooks agreed initially to go. but then a more official summons was sent to the murdoches. they decided they will in fact cooperate fully, show up at this meeting on tuesday. they're in the process of drafting their replies as we speak. this is a committee brooks did testify before in 2003. obviously that initial investigation wasn't thoroughly done. it's been determined that they will all be answering questions of course regarding phone-hacking and payments to police for information at the "news of the world", the sunday tabloid owned by rupert murdoch and news corporation, its european branch news international, that was shut down last sunday amidst all of this scandal. back to you, jon. jon: amy kellogg live from london. thanks, amy. >> reporter: you're welcome. heather: say good-bye to "happy hour". why the beer taps they may soon be running dry in one state. and we know hopefully a lot of you are heading off to

vacation with your families, your friends. it is now easier than ever before to take fox news with you. simply go to foxnews.com/mobile and find out how to connect with your cell phone, your smartphone, any other device that you might have.

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>> hi, everyone. coming up on "america live", we have a guest who says that the debt ceiling debate is merely a sideshow and we are headed in the direction of greece. also, what is president obama doing about jobs? clinton's former labor secretary has written a critical article and we'll have a fair and balanced jobs debate. and should obese children be taken away from their parents. one mother in such a situation wrote to us. we'll hear her heartwrenching story. that is all coming up when i see you in 20 minutes. heather: thank you very much, allison. new information on some of the headlines we're following for you across the country. in minnesota a bunch of popular beers, they may

disappear from stores and bars all across the state. the brewing giant miller coarse doesn't have the proper licenses due to a state government shutdown. in colorado, more than 1,000 airline passengers are stranded at denver international airport. a nasty hailstorm damaged more than a dozen jets forcing some flights to be grounded. in michigan, a final farewell to betty ford. a funeral service is being held for mrs. ford this afternoon in grand rapids, michigan. the first lady grew up in grand rapids and grew up and met her husband there. jon? jon: the jobless numbers out today aren't as bad as expected but still not very good news. about 405,000 americans joining unemployment lines last week. that is 22,000 fewer than in the previous week. but new claims remain above 400,000 every week for the past 14 weeks. that is strong evidence of a very bad job market. connell mcshane from the fox

business network is with us with more. >> reporter: hey there, jon, you couched it perfectly. they're not as bad as expected. those 14 weeks in a row you think about before that we just dropped below 400,000, which if anything is a key psychological level. people said maybe we start to get it turned around. now we're not. we're sitting in washington talking about what will be next in the debt neck shuns. it brings up a larger point. we don't have any bullets left in the gun to fight this. the only policy response from this administration previously to poor job growth was some sort of spending measure. stimulus. we could argue until we're blue in the face the effect of stimulus was but most economists think there was some stimulative effect. maybe not as many as hoped but some jobs. now the debate in washington is how much we'll cut spending. so that is out of the question request. there will be not anymore spending to create jobs. then what if we don't get a debt deal? that is the other big thing. if we don't get a debt deal

we might get higher interest rates which will hurt job growth so it is a pretty rough situation. jon: some of the countries like germany, didn't stimulate like we did and still came out of this pretty well, right? >> they did. germany is a actually a very good example of that. look at some of the other european countries not in such good shape. we heard talking about a moment ago will we turn into the next greece? there are key difference what we have as an advantage versus what is going on in europe. to me is interest rates. our interest rates is very, very low here. that is why the debt debate is very important debate. if we come through it and we don't have a deal by august 2nd we will have higher interest rates. that is what is going on a in europe. that is very difficult for them to borrow money. we can still borrow at very low rate. that is one of the advantages. there is question how long that will be there for. jon: when you read the numbers it is hard to fathom that 405,000 americans hit the unemployment lines, the unemployment office this week apparently for the first time or maybe they have had a temporary job or

a short-term job and they're back on unemployment. that is big, big number and a sad one. >> the biggest number really came out at the last jobs report, we have 9.2% unemployment as we know in the country. the overall number people not satisfied with the job working part-time or like to working full-time and completely unemployed that number is up over 16%. that is a rough situation. those are people who would want to be working full time and can't seem to catch on. again to go back to the policy answers to that, they're just not there right now. there is no big measure that can be put in place to correct this anytime soon. looks like it will be something that has to be corrected by time. that's all we have right now. jon: projection for unemployment to stay high for a very long time. >> this new normal a lot of people talking about idea of getting back to 4 or 5% will not happen anytime soon, you're right. jon: connell mcshane. fox business network. thank you. >> thank you. heather: a gun rights advocate take as quest to freely sell his guns to federal court. we'll ask about his mission

live. plus police officers dealing a devastating blow to one of the most powerful gangs in the u.s. and we'll tell you which gang and we'll tell you where.

heather: we're getting some new information on a massive raid on a gang in california. rick folbaum at the breaking news desk for us with more. rick? >> heather, quite a scene in santa ana, california, where dozens of suspects were rounded up and arrested. you don't see this very often. take a look at video here on ipad. there you go. you could see what happened here. this huge raid, the result of what was called, operation black flag. this is a 30-month long investigation of an area where mexican mafia affiliated gangs and drug dealers were thought to be operating.

heavily-armed officers, entering a home, capturing suspects and bring them out on to the street where they were arrested. authorities have been apparently keeping a close eye on those guys for a while. first when they were in prison. then once they got out. similar raids taking place in other parts of the state including los angeles county. they're called the mexican mafia but they operate stateside. one of the oldest and most powerful prison gangs in the u.s. and officials say about 60 people are now facing charges including racketeering, narcotics and weapons sales. again, about 60 members of the mexican mafia, now in custody after a raid in california. back to you. heather: i'm betting that you can see that on the fox news app there on the ipad as well? >> i bet you can. check it out. heather: thank you. jon: in montana, there is a gun enthusiast to take his dreams to expand gun rights to federal court. gary has an idea for a rifle that he is looking to sell. he calls it the montana buck

can roo but he has much bigger plans for the gun. gary joins us by phone. gary, you essentially think if i have this right, that federal gun laws are too restrictive because of an improper interpretation of the 10th amendment? >> well no. more improper interpretation of commerce clause. a great deal of federal power that is asserted is asserted under the guise of regulating commerce among the states including the gun laws. and in this case our real object, our target is the federal commerce clause power and we're using firearms as the vehicle for that exercise. jon: all right. so what you're hoping to do, what you want to do is create this rifle. you're building it personally. i guess you're a machinist, a gun smith. you're building a rifle called the montana buckaroo, a 22 caliber rifle designed for children, right. >> correct. i'm not building it until we are successful at united

states supreme court in rolling back a half century of commerce clause precedent. jon: you want to do it and do what with it? >> market it. i want to sell it toe people in montana. this is based on the montana firearms freedom act which i wrote. any firearms made and retained in montana are not subject to any authority of power of congress to regulate power among the states. jon: doesn't the atf say that is illegal? >> of course they do. jon: so your idea is what? >> we need to litigate this all the way to the supreme court. and revise, get commerce clause precedent revised so we can prove or validate the montana firearms freedom act. then i may proceed to make the montana buckaroo for use only in montana. jon: it is not just a pipe-dream. a lot of people who have paid attention to what you're trying to do here say you've got a real good case. there are eight state attorneys general who have joined you in this effort, right? >> that's correct. there are eight states that have, or seven other states

that have passed clones of the montana firearms freedom act and 20 some other states that have introduced bills to enact their own clones. all of this in an attempt to roll back what we think is overbearing federal authority. jon: part of what you are basing it on lies in the 10th amendment. let me read part of that by the to the viewers. powers not delegated to the united states by the constitution nor prohibited to the states are reserved to the states respectively, or to the people. so what does that language say to you, gary? >> it says we can do what the montana firearm freedom act says we can do. the courts have long ignored the 10th amendment. part of the exercise we hope to breathe life into the tenth amendment and persuade the supreme court that it deserves an equal seat at the bill of rights table with all of the other amendments in the bill of rights. jon: but i can see some supreme court justice say you create the montana buckaroo

you want to sell it in montana. what does it prevent some one taking across the border to idaho and become interstate commerce. certainly if it becomes interstate commerce take it to idaho would be illegal and subject to federal laws. jon: so think would be breaking the law, not you? >> correct. jon: why a gun? why not create, i don't know, a beach ball or some other product? >> because i'm the president of the montana shooting sports association. we're one of the most successful political action organizations for gun owners in the united states, maybe in the world. we've gotten now 56 pro-gun and pro-hunting bills through the montana legislature. it is gun bills we do. we don't do beach ball bills. jon: okay. it will be interesting to watch and see how this goes forward. it is an interesting take on a case that a lot of our viewers are very interested in. gary, we'll keep an eye on it and see how it goes. >> super. we have some very interesting and novel

arguments to make about the 10th amendment and about the commerce clause. jon: that's why we put you on tv today. gary, thank you. >> you're welcome. heather: some dramatic developments in the perjury trial of roger clemens. rick foal calm is coughing -- folbaum is in the breaking news desk. you have new video. >> new video of roger clemens fresh after the judge declared a mistrial. we have video of the baseball great walking out of prison. his lawyers say it is a beautiful day. there he is after a spectacular 24-year baseball career, clemens charged with lying to congress after testifying that he had never used performance-enhancing drugs. so this was the perjury trial in the second day of testimony. the judge basically saying that prosecutors had given information to the jury after he had explicitly told them not to. information that the judge thought may prejudice the jury against the former baseball star. once again, a mistrial and there is roger clemens

leaving the courthouse after that ruling was handed down. there is a hearing on september 2nd to decide whether or not there will be a new trial against roger clemens. that's the latest. back to you guys. heather: wow, some breaking news today, for sure. thank you. jon: also some shocking new reports out that a militant terrorist group is arming and training ruthless drug cartels just south of the u.s. border. we have that report. plus you still have time to vote on our must-see moment of the day. first we have a fearless boater who wrestles with a shark. we have a very young young saki expert or ducklings that got lost and need ad helping hand. we have must see video after the break. ♪ hey, the new guy is loaded with protein!

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jon: you our loyal viewers have spoken and rick was surprised at the winner of today's video. rick: not exactly surprised. i have come to understand it might have been fixed. jon: really. the producers? helhelpheather: never. rick: this is the efforts to get a little baby duckling that was crossing along the street with his family or her family, not quite sure when she fell into a storm drain. so they had to. heather: it's a great story. rick: i wanted to hear about the little saki girl. jon: i wanted the sharks. rick: were we left out of the discussion. there is the duckling reunited with the family and they will be released into a nearby lake. jon: thousands of votes. thanks for joining us, "america li